JBM C.S.S.B. 1809 75(R)BILL ANALYSIS


NATURAL RESOURCES
C.S.S.B. 1809
By: Barrientos (Keel, Terry)
4-30-97
Committee Report (Substituted)



BACKGROUND 

Currently, municipal utility districts (MUDs) are not specifically granted
the power to enter into agreements with municipalities which require
payments by the district to the municipalities for purposes beyond the
scope of district activities contemplated in a consent agreement creating
an individual district.  The Wells Branch Municipal Utility District ("the
district") was created through the consent agreement process.  This bill
will authorize the district to enter into a contract with a municipality,
requiring payments to the municipality, for mutually agreeable purposes. 

PURPOSE

To authorize the district to enter into a contract with a municipality,
requiring payments to the municipality, for mutually agreeable purposes. 

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any
additional rulemaking authority to a state officer, department, agency or
institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Defines "District" to mean Wells Branch Municipal Utility
District ("the district") located in Travis and Williamson Counties,
Texas. 

SECTION 2.  Provides that the purpose of this Act is to meet the special
needs of the district. 

SECTION 3.  Provides that the legislature finds that there exists a public
necessity to amend the law governing the district, and that this Act will
further the conservation and development of the natural resources of the
state within the district. 

SECTION 4.  (a)  Provides that the district and a municipality are
authorized to enter into a   contract for the district to make payments to
the municipality for a purpose that    the governing body of the district
determines will further regional cooperation   between the district and
the municipality and may include terms and     considerations that the
district and the municipality find are reasonable and   appropriate. 

 (b)Provides that a contract entered into under this section:  (1) may be
for a term that is mutually agreeable to the parties; (2) may be renewed
or extended; (3)  may provide that the district will remain in existence
and be exempt from annexation by the municipality for the term of the
contract; and (4) is binding upon all subsequent governing bodies of the
district and the municipality for the terms of the contract. 

 (c)Provides that the district may make annual appropriations from its
operations and maintenance tax or other revenue available to the district
to make payments to a municipality under a contract entered into under
this section. 
 
 (d)Provides that a municipality may not annex the district until after
December 31, 2014. 

SECTION 5.(a)  Sets out that proper legal notice of intention to introduce
this Act has been published as provided by law and the notice a copy of
the Act have been furnished to all parties as provided by law, including
the governor, who has submitted the notice and Act to the Texas Natural
Resource Conservation Commission ("TNRCC"). 

 (b)Provides that the TNRCC has filed its recommendations relating to this
Act with the governor, lieutenant governor, and the speaker of the house
within the required time. 

 (c)Sets out that all requirements of the constitution and laws of this
state with respect to the notice, introduction, and passage of this Act
are fulfilled and accomplished. 

SECTION 6.  Emergency clause.


COMPARISON OF ORIGINAL TO SUBSTITUTE

CAPTION:   The caption of the original refers to the administration,
powers, duties, operation, and financing of the district, while the
caption of the substitute refers to operation of the district and to the
powers of  the district and a municipality to enter into certain
contracts. 

SECTION 1. No substantive changes.

SECTION 2.  No substantive changes.

SECTION 3. No substantive changes.

SECTION 4. In the original, this section is entitled "Authority of Wells
Branch Municipal Utility District," and, in the substitute, this section
is entitled "Contracts Between the Wells Branch Municipal Utility District
and a Municipality."  In the original, this section amends Subchapter C,
Chapter 42, Local Government Code, by adding a new Section 42.049, while
the substitute only proposes special law provisions.  Although Section 4
was reorganized in the substitute, the only other substantive difference
between the two versions is that Section 4(d), providing that a
municipality may not annex the district until after December 31, 2014, was
added in the substitute and was not in the original measure. 

SECTION 5. Section 5 of the substitute, which sets out findings related to
procedural requirements, was not in the original measure. Section 5 of the
original was an emergency clause.  

SECTION 6. Section 6 of the substitute is the emergency clause.  There was
no Section 6 in the original measure.  In the original, the emergency
clause was in Section 5.